MACP Scheme 2026: Will “Good” Grading Stop Your Salary Hike? (New Rules)

MACP Scheme 2026: Will “Good” Grading Stop Your Salary Hike? (New Rules)

As of February 2, 2026, the Modified Assured Career Progression (MACP) Scheme continues to be the financial lifeline for Central Government employees facing stagnation. The Department of Personnel & Training (DoPT) has strictly enforced the “Very Good” benchmark in APARs for all MACP grants effective from July 25, 2016.

⚠️ Critical Rule Update (2026): If you have refused a regular promotion during your service, you are debarred from MACP benefits until you accept the promotion. The period of refusal will not be counted toward the 10, 20, or 30-year residency period.

What is MACP? (The 10-20-30 Formula)

The MACP Scheme, operational under the 7th Pay Commission, ensures that every central government employee receives at least three financial upgradations in their entire career if they do not get regular promotions.

Unlike the old ACP scheme (which gave the next promotional scale), MACP grants the immediate next Pay Level in the Pay Matrix hierarchy.

Milestone Condition for MACP Grant Benefit (Pay Matrix)
1st MACP 10 Years of regular service without any promotion. Next Pay Level (e.g., Level 2 to 3)
2nd MACP 20 Years of service (or 10 years from 1st promotion). Next Pay Level (e.g., Level 3 to 4)
3rd MACP 30 Years of service (or 10 years from 2nd promotion). Next Pay Level (e.g., Level 4 to 5)

Note: MACP is purely financial. It does not change your designation, duties, or seniority list position. You will continue to perform the same duties but draw a higher salary.

The “Very Good” Benchmark: The 2026 Hurdle

The most significant change introduced by the 7th CPC (and rigorously audited in 2025-26) is the APAR grading requirement.

Previously (under 6th CPC), a grading of “Good” was sufficient for Group C and B staff. However, DoPT OM No. 35034/3/2015-Estt.(D) mandates that for any MACP granted on or after 25.07.2016, the prescribed benchmark is “Very Good” for all posts.

How Grading Affects Your MACP

The Screening Committee reviews your last 5 years of APARs (Annual Performance Appraisal Reports).

Scenario APAR Grading (Last 5 Years) MACP Result
Scenario A 5 “Very Good” ✅ Granted
Scenario B 3 “Very Good” + 2 “Outstanding” ✅ Granted
Scenario C 4 “Very Good” + 1 “Good” ❌ Denied / Defer
Scenario D 3 “Very Good” + 2 “Good” ❌ Denied

What if I have one “Good”? If you are denied MACP due to a “Good” grading, the upgrade is deferred to the next year. The committee will check the APARs again next year (dropping the oldest year and adding the newest one) to see if you meet the “Very Good” criteria.

Pay Fixation Rules on MACP (Option 1 vs Option 2)

When you are granted MACP, your pay is fixed under FR 22(1)(a)(1). You get one notional increment (3%) in your current level, and then you are placed in the next level.

Employees often lose money by choosing the wrong option. You have two choices:

  • Option 1: Fixation from the Date of Grant of MACP.
  • Option 2: Fixation from the Date of Next Increment (DNI) – Usually Jan 1 or July 1.

Calculation Example: Level 2 to Level 3

Let’s assume Mr. Sharma (LDC) is granted 1st MACP on April 10, 2026. His current Basic Pay in Level 2 is ₹26,000. His DNI is July 1, 2026.

Step Option 1 (From Apr 10) Option 2 (From July 1)
1. Existing Pay ₹26,000 (Level 2) ₹26,000 (Level 2)
2. On MACP Date Add 1 Increment in L-2
→ ₹26,800
Fix in L-3 → ₹27,600
No Change. Continue drawing ₹26,000 until July 1.
3. On July 1 (DNI) Get Annual Increment in L-3
₹28,400
First get Annual Incr in L-2
→ ₹26,800
Then MACP Incr in L-2
→ ₹27,600
Then Fix in L-3 → ₹28,400
Final Basic ₹28,400 ₹28,400

Strategy: In 7th CPC, often both options yield the same result due to the matrix structure. However, Option 2 is generally safer if your DNI is close, as it ensures you get the “Annual Increment” credited to the lower post first, potentially pushing you to a higher cell in the new level.

Refusal of Promotion = MACP Denial?

This is a strict condition under DoPT OM dated 19.05.2009 and reiterated in 2026 guidelines.

  • If you are offered a regular promotion (e.g., Transfer to another station) and you refuse it in writing: You lose your MACP eligibility.
  • The Lock-in: You will NOT be considered for MACP until you accept the promotion again in the future.
  • Double Loss: Even if you accept promotion later, the period of refusal is deducted from your 10/20/30 year count.
⚠️ Advice: Never refuse a promotion just to stay in the same city if you are close to your MACP date. It will freeze your financial career progression.

MACP for Railway Employees (RBE Rules)

The Railway Board follows the DoPT guidelines but with specific RBE Notifications. For Running Staff (Drivers/Guards), the MACP is granted in the hierarchy of stationary posts.

  • Station Master (SM): Entry Level 6. 1st MACP → Level 7. 2nd MACP → Level 8. 3rd MACP → Level 9.
  • Track Maintainer: Specific ratio-based promotions apply (10:20:20:50). MACP applies if stagnant in Level 1 or 2.

Step-by-Step: How to Claim MACP in 2026

MACP is usually processed suo-moto by the administration, but delays are common. Here is how to ensure you get it on time:

  1. Check Service Book: Confirm that your “Qualifying Service” is calculated correctly (minus EOL/Dies Non).
  2. Review APARs: Ensure you have “Very Good” for 2021-22, 2022-23, 2023-24, 2024-25, and 2025-26.
  3. Representation: If any APAR is “Good” or “Average” without communication, submit a representation under the “Disclosure of APAR” rules immediately.
  4. Submit Option Form: Once the MACP order is issued, submit the Pay Fixation Option form within 30 days.

Common Myths vs Facts

The Myth The Fact (Official Rule)
“MACP changes my designation.” No. Designation remains same. Only Pay Level changes.
“I get Level 8 after Level 7 in MACP.” Yes. But if the promotional post is Level 9, MACP will still give only Level 8 (Next in Matrix).
“Good grading is enough for Level 1.” No. “Very Good” is mandatory for ALL levels since 2016.
Can I get MACP if I have a departmental penalty?

No. During the currency of a penalty (e.g., Censure, Stoppage of Increment), MACP cannot be granted. It will be deferred until the penalty period is over.

Does MACP apply to Group A officers?

No. MACP is applicable only to Group ‘B’ and Group ‘C’ employees. Organised Group ‘A’ Services have their own NFFU (Non-Functional Financial Upgradation) scheme.

What happens if I retire before my MACP order is issued?

If you were eligible (completed 10/20/30 years) before retirement, the benefit will be granted retrospectively. Your pension, gratuity, and leave encashment will be revised, and arrears will be paid.

हिंदी सारांश

वर्ष 2026 में MACP (संशोधित सुनिश्चित करियर प्रगति योजना) का लाभ लेने के लिए पिछले 5 वर्षों की APAR में “Very Good” ग्रेडिंग होना अनिवार्य है। यदि किसी कर्मचारी ने नियमित पदोन्नति (Promotion) लेने से इनकार किया है, तो उसे MACP का लाभ नहीं मिलेगा। यह योजना 10, 20 और 30 साल की सेवा पूरी करने पर अगला Pay Level प्रदान करती है, पदनाम (Designation) नहीं बदलता।

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🚨 MACP Rules 2026: Critical Update

👉 Benchmark: “Very Good” mandatory (Last 5 APARs)
👉 Condition: Promotion Refusal = MACP Denied
👉 Benefit: Next Pay Level (Financial Hike)

Read the full eligibility & calculation guide:


Disclaimer: This guide is based on DoPT O.M. No. 35034/3/2015-Estt.(D). Rules may vary slightly for Railway and Defence civilians based on specific departmental orders.

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